Enhanced Return Potential
By investing overseas, you have the opportunity to invest in dynamic international companies that may be growing faster than their U.S. counterparts.
International stocks and bonds allow you to invest in some of the best-performing markets in the world.
Despite posting solid long-term gains, the U.S. is rarely the leading individual market in any given year. Even during the bull markets of the late 1990s, the U.S. was out-performed by markets in other countries. Investing in foreign stocks and bonds lets you benefit from bullish markets overseas.
Lower Volatility
While international funds generally are more volatile than similar domestic funds, including them in your portfolio can provide greater diversification, potentially lowering the overall volatility of your portfolio.